Just starting the pre-qualification process, but...

I just realized that i forgot to make my Dec 12 auto loan pmt (HSBC Auto Finance). They called yesterday (Jan 12) about it and had already sent it to THEIR "collections department". I made the necessary double pmt to bring into good standing online, and although they say that takes up to 24 hours to post to my acct, the guy from collections made a note of my confirmation # on my account history. It's a balance of $3500 (prior to today's pmt) on a refinance I opened with them in September-ish of 2006.

I don't want that 30 day going on my history, but their customer service says it just automatically reports my account status every month to the credit bureaus. So, if it does show up, how much will such a thing drop my scores and is there a strategy I can implement to counter that drop? I could easily pay that remaining balance today if I had to, but I'd rather leave that cash in the bank. Somebody in one of the other forums said that paying off an auto loan early could drop my scores a few points. That doesn't seem right, but I guess stranger things happen.

But if that is the case, would intensifying my efforts to pay off cc debt be enough at some level to regain those points if lost? I've already been adding $$ to my monthly payments on a few cc's in order to get the balances paid way down, if not to zero.

Like my subject line says, I am in the pre-approval stage of 1st time home buyership. This is why I'm stressing so much about this bone headed mistake of mine. Any and all reasonable advice on a good strategy for what seems to be a damage control issue at this point is greatly appreciated. Thanks in advance.

Re: Just starting the pre-qualification process, but...

Do you have any other negatives in the last 12 months? If not then this isolated 30-day late payment should have minimal impact, probably a non-factor. What is the rest of your situation, income, debts, down payment, liquid assets/reserves, sales price, where you are buying, etc.? That'll help determine if this late payment is anything to worry about.

Mortgages (FHA, VA, USDA, Fannie, Freddie, Non-Prime) since 2002, based in Irvine, CA and lending in all 50 states

Re: Just starting the pre-qualification process, but...

Due to a delayed payoff...my old car loan was late back in Septemeber....it dropped my score 100pts on each report...and I had to other lates since 2006...so it can hurt a lot...your best bet is to call or write HSBC and see if they will be willing to remove the late payment...GW letter...

Forums posts are not provided or commissioned by FICO. Forums posts have not been reviewed, approved or otherwise endorsed by FICO. It is not FICO's responsibility to ensure all posts and/or questions are answered.

† Advertiser Disclosure: The listings that appear on myFICO are from companies from which myFICO receives compensation, which may impact how and where products appear on myFICO (including, for example, the order in which they appear). myFICO does not review or include all companies or all available products.

‡ Credit cards for FICO Score ranges: The score ranges are guidelines based on internal myFICO analysis of actual applicant approvals, and having a FICO Score in a particular range does not guarantee you will be approved for credit cards recommended in that range. These ranges were not provided by any card issuer.

* For complete information, see the terms and conditions on the credit card issuer’s website. Once you click apply for this card, you will be directed to the issuer’s website where you may review the terms and conditions of the card before applying. While myFICO always strives to present the most accurate information, we show a summary to help you choose a product, not the full legal terms - and before applying you should understand the full terms of products as stated by the issuer itself.

IMPORTANT INFORMATION: All FICO® Score products made available on myFICO.com include a FICO® Score 8, along with additional FICO® Score versions. Your lender or insurer may use a different FICO® Score than the versions you receive from myFICO, or another type of credit score altogether. Learn more

FICO, myFICO, Score Watch, The score lenders use, and The Score That Matters are trademarks or registered trademarks of Fair Isaac Corporation. Equifax Credit Report is a trademark of Equifax, Inc. and its affiliated companies. Many factors affect your FICO Score and the interest rates you may receive. Fair Isaac is not a credit repair
organization as defined under federal or state law, including the Credit Repair Organizations Act. Fair Isaac does not provide "credit repair" services or advice or
assistance regarding "rebuilding" or "improving" your credit record, credit history or credit rating. FTC's website on credit.